Starkist's new plant would generate 1,200 new jobs. (Photo: Stock File)

New tuna loining plant in the works: StarKist

The American Samoa Government has been asked to closely watch developments surrounding the Starkist's cannery and the company's plans to found a loining facility in Asau, Savaii, in neighbouring Samoa.

The company is seeking alternative locations for its operations and hopes the territory’s government officials will help create a concrete plan for assistance to reinvigorate the tuna industry of American Samoa. The new plant would generate 1,200 new jobs.

Co-chairman of the American Samoan Governor’s Economic Advisory Council David Robinson says it is obligatory to monitor developments in the territory, as Samoa’s Government takes a pro active stance to economic expansion.

A team from the Samoan Government is appraising the infrastructure demands of the project, Australia Network News reports.

The needs will include power and water capacity, with power being “a massive requirement” because it will have to grow threefold compared to the amount now available to Savaii residents.

“They do have access to funds from various international bodies: the IMF, the Asian Development Bank and people like that. It’s quite possible that through their connections with those organisations, they could access the amount of funds necessary to build the right level of infrastructure to satisfy Starkist,” Robinson commented, reports Radio New Zealand International.

This is StarKist’s first time offering solid confirmation on its plans of this kind of operations in Samoa, after reports emerged there in July, a period during which Representative Galu Satele Jr informed his colleagues about reports of talks between the Samoa Government and firm officials.

“We continue to investigate alternative operation locations that will ensure that StarKist remains globally competitive,” StarKist spokesperson Mary Sestric stated.

Misa Telefoni, Samoa's Deputy Prime Minister, made the announcement regarding StarKist’s new plant to the Pacific Investment Summit. He said the government has been having high-level talks with the US-based company Starkist.

The loins will be sent to American Samoa, Misa said, as StarKist will still enjoy duty free export privileges to the US and it meets the 30 per cent requirement of having the product manufactured atop US soil, reports samoanews.com.

He does not see any problem with filling vacancies if the plans progresses, he said, as many of the former American Samoan cannery workers are Savaii residents.

In May, StarKist announced it would lay off as many as 800 workers from the StarKist Samoa Satala plant over the next few months. The firm has been unable to compete with low-cost Asian rivals since US law mandated it raise its minimum wage in 2007.

The first round of layoffs is set for 28 August – workers received letters of notification last month -- and the subsequent one is scheduled for October, which will leave only about 1,000 employees working at the Satala plant.

Related articles:

- Starkist lays off 150 employees
- Hundreds to lose jobs in American Samoa cannery

By Natalia Real
[email protected]
www.seafood.media

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